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Freight Insight for Week of May 4

Freight Insight for Week of May 4

Thanks for tuning in to Sunset’s weekly market outlook column. As we keep our eyes on the road ahead, our Managing Directors are sharing insight from the team’s regular internal market calls.

Trends and discussions range from seasonal manufacturing and agriculture trends that affect available capacity to general insight into outside factors affecting freight volumes.

Below is a summary of the May 6 call:

FREIGHT VOLUMES

  • Businesses are slowly and cautiously looking forward into “what’s next” and “how do we continue safely”.
  • Large consumer product manufacturers are considering stopping sourcing from Asian countries in favor of Mexico and Canadian suppliers. Anticipate many industries to follow this shift.
  • Construction and home improvement shippers are ramping up given warmer temperatures and stay-at-home measures being lifted.
  • Food service and manufacturing volumes are up, preparing for opening of restaurants.
  • Mexico automotive manufacturers are phasing back into operations, now week of May 11.
  • USMCA (NAFTA replacement) takes effect July 1. If you’re a Mexico or Canadian shipper, take precautions now!


TRUCKLOAD & LTL CAPACITY

  • Truckload capacity is somewhat available this week nationwide as freight volumes are slowly picking up.
  • Carrier rates are at a 4-year low.
CONTRIBUTORS
  • Grand Haven: Doug Bryant
  • Green Bay: Rick Kerr
  • Laredo: Jose Minarro
  • Nashville, TN: Jonathan Falcon
  • St. Louis, MO: Justin Danks
  • St. Paul, MN: Mike Morris
  • Wilson, NC: Mary McCallister